Saudi Arabia to Double Crude Supply to India

Saudi Arabia has agreed to almost double its supply of crude oil to India to 40 million tonnes a year, or 770,000 barrels a day, from the previous supply of 25.5 million tonnes a year.

The agreement results from India’s aim to secure greater crude supplies for its three refineries at Paradip, Bhatinda and Bina, reports Reuters.

The country will also seek more heavy crude oil import from Saudi Aramco.

Indian Oil’s Paradip refinery, Hindustan Petroleum’s Bhatinda unit and Bharat Petroleum’s Bina plant will increase India’s refining capacity of 178 million tonnes a year by almost 20% by 2012 end, according to Reuters.